Possible scenario
Security Incident Escalates
25% Chance
A fresh attack, mine scare or drone incident involving an Iraqi-chartered cargo would turn Baghdad’s freight-risk strategy into a wider security problem. Because Hormuz attacks have already intensified, this remains a material but not base-case risk.
Initial impacts
- Riskier companies' borrowing costs Up
- Market volatility Up
- 10-year Treasury yield Down
- Oil prices Up
- US dollar Up
Secondary impacts
- Energy +2.0%
- Industrials
Portfolio impact
S&P 500-1.3%
Each figure is the modeled move of the S&P 500 if the outcome occurs. For information only. Not investment advice.
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